In a significant move to transform its mining sector, the Federal Government of Nigeria has officially commenced operations at a high-purity gold refinery in Lagos and announced the readiness of a major $600 million lithium processing facility in Nasarawa State. The announcement signals a determined push to boost local mineral processing and capture more value from the nation's resources.
Minister Alake Announces Milestone Projects in Riyadh
The disclosure was made by the Minister of Solid Minerals Development, Dr. Dele Alake, on Tuesday, 13th January 2026, during a high-level meeting in Riyadh, Saudi Arabia. The minister was on a courtesy visit to his Saudi counterpart, Minister of Industry and Mineral Resources Ibrahim Al-Khorayef, ahead of the Future Minerals Forum (FMF).
According to a statement issued by his Special Assistant on Media, Segun Tomori, Dr. Alake stated that these projects are direct results of the government's value-addition policy. "Nigeria's value-addition policy is already yielding tangible results," Alake said. He confirmed that a gold refining plant of very high purity is now operational in Lagos, with three additional gold refineries in the pipeline. Furthermore, the $600 million lithium processing plant in Nasarawa State is ready for commissioning.
Deepening Local Processing and Global Partnerships
The minister emphasized that the operational facilities underscore the government's commitment to promoting in-country beneficiation, moving away from the export of raw, unprocessed minerals. He identified lithium and gold as central to Nigeria's economic diversification plans and its role in supporting global energy transition supply chains.
The meeting with the Saudi minister focused on strengthening bilateral cooperation. Dr. Alake expressed Nigeria's keen interest in expanding collaboration in specific areas where both nations have complementary strengths. He outlined several priority areas for partnership:
- Capacity building and training for mining professionals.
- Technology transfer, particularly in exploration.
- Mineral traceability systems to boost investor confidence.
- Adherence to Environmental, Social, and Governance (ESG) standards.
- Mine-pit remediation.
Alake revealed that a joint working group, established since the 2025 Future Minerals Forum, is active and is expected to present its report. He highlighted that the forum provides an ideal platform to refine partnerships based on fairness and mutual benefit.
Saudi Arabia Endorses Practical Cooperation
In his response, Saudi Minister Ibrahim Al-Khorayef described Nigeria as a longstanding ally and agreed on the need for actionable agreements. He proposed that the joint working group prepare a draft Memorandum of Understanding (MoU) for potential signing during the forum. Al-Khorayef also encouraged Nigeria to use the platform to showcase its mining investment opportunities and to adopt advanced technologies, offering Saudi Arabia's experience as a resource.
This development is part of Nigeria's broader reforms in the solid minerals sector, which include efforts to curb illegal mining, improve regulatory frameworks, and attract investment through incentives. The government views the expansion of domestic refining and processing capacity as critical to maximizing the economic benefits of its vast mineral wealth, which includes deposits of critical minerals and rare earth elements.
